Financial Performance - Revenue for the first quarter of 2021 was HKD 24,464,000, an increase of 13.5% compared to HKD 21,527,000 in the same period of 2020[23] - Gross profit for the first quarter of 2021 was HKD 2,937,000, up from HKD 2,638,000 in the first quarter of 2020, representing an increase of 11.4%[23] - The company reported a profit before tax of HKD 73,000, a significant improvement from a loss of HKD 684,000 in the same period last year[23] - The net profit for the first quarter of 2021 was HKD 49,000, compared to a loss of HKD 694,000 in the first quarter of 2020[23] - Basic and diluted earnings per share for the first quarter of 2021 were HKD 0.05, compared to a loss of HKD 0.69 per share in the same period of 2020[23] - For the three months ended March 31, 2021, the total revenue was HKD 24,464,000, a significant increase from HKD 10,935,000 in the same period of 2020, representing a growth of approximately 124%[44] - Revenue from clothing products and supply chain management services was HKD 24,007,000, compared to HKD 10,935,000 in the previous year, indicating a growth of about 119%[44] - The profit from the clothing products segment was HKD 2,505,000, while the profit from the building materials segment was HKD 457,000, leading to a total segment profit of HKD 2,962,000[54] - The company’s pre-tax profit for the period was HKD 73,000 after accounting for various expenses[54] - The group reported a profit of HKD 49,000 for the three months ended March 31, 2021, compared to a loss of HKD 700,000 for the same period in 2020, attributed to increased revenue and reduced sales and distribution expenses[93] Expenses and Costs - Other income decreased to HKD 33,000 from HKD 199,000 year-on-year, reflecting a decline of 83.4%[23] - Administrative expenses increased to HKD 2,360,000 from HKD 2,140,000, marking an increase of 10.3%[23] - Financial costs rose to HKD 134,000 from HKD 101,000, an increase of 32.7%[23] - Cost of sales rose by 159.5% from HKD 8,300,000 for the three months ended March 31, 2020, to HKD 21,500,000 for the same period in 2021, consistent with the increase in sales[84] - Gross profit for the three months ended March 31, 2021, was HKD 2,900,000, compared to HKD 2,600,000 for the same period in 2020, with a gross margin decrease from 24.1% to 12.0% due to lower average selling prices driven by pessimism in the global retail market[85] - Sales and distribution expenses for the three months ended March 31, 2021, were HKD 300,000, a decrease from HKD 1,100,000 for the same period in 2020, primarily due to reduced sales commissions and travel expenses caused by COVID-19 restrictions[89] - Administrative expenses increased slightly to HKD 2,400,000 for the three months ended March 31, 2021, compared to HKD 2,100,000 for the same period in 2020, mainly due to increased bank fees[90] Business Operations and Strategy - The company continues to focus on expanding its services and providing construction and related materials agency services[32] - The company has successfully expanded its business into the construction materials sector, diversifying its revenue sources[76] - The group is exploring new business opportunities in the construction and related materials sector in ASEAN countries to diversify revenue sources, as this sector is less affected by COVID-19 and the US-China trade war[103] - The company aims to strengthen its market position in the Hong Kong apparel supply chain management industry through various strategic initiatives[80] Compliance and Governance - The company is committed to maintaining compliance with the GEM listing rules and ensuring accurate financial reporting[34] - The company has not yet applied new accounting standards that are expected to have a significant impact on the financial statements[41] - The company has adopted trading standards for directors in compliance with GEM Listing Rules[144] - The audit committee was established on April 16, 2018, in accordance with GEM Listing Rules and consists of three independent non-executive directors[149] - The audit committee reviewed the unaudited consolidated financial statements for the three months ended March 31, 2021, and confirmed compliance with applicable accounting standards and GEM Listing Rules[149] - The company has complied with the corporate governance code during the three months ended March 31, 2021[139] Shareholder Information - As of March 31, 2021, the company had a total of 100,000,000 shares issued[120] - Mr. Gao holds 100 shares of ordinary stock, representing 100% ownership through Metro Vanguard[124] - Ms. Chen holds 75,000,000 shares, which is 75% of the issued share capital[130] - No other directors or senior management held any interests or short positions in the company's shares as of March 31, 2021[125] - The company has not engaged in any arrangements that would allow directors or senior management to acquire shares or debt securities during the three months ended March 31, 2021[136] - No shares were purchased, sold, or redeemed by the company or its subsidiaries during the three months ended March 31, 2021[145] - The company has not granted, lapsed, exercised, or cancelled any share options since the adoption of the share option scheme on April 16, 2018[147] - The share option scheme is valid for 10 years from the date of listing unless revoked or amended[146] Financial Position - Non-current assets located in Hong Kong amounted to HKD 27,565,000, a slight decrease from HKD 28,743,000 in the previous year[63] - As of March 31, 2021, the group's total equity was HKD 57,600,000, down from HKD 61,800,000 as of March 31, 2020, and cash and cash equivalents were HKD 8,300,000, down from HKD 18,000,000[109] - The net proceeds from the listing amounted to approximately HKD 32,200,000, with HKD 17,500,000 utilized for establishing new showrooms and HKD 5,200,000 for repaying bank loans by March 31, 2021[107] - The group has not made any significant acquisitions or disposals as of March 31, 2021, consistent with the same period in 2020[112] - The group has no significant contingent liabilities or guarantees as of March 31, 2021[99] Other Financial Information - The company reported other income totaling HKD 33,000, down from HKD 199,000 in the same period last year, primarily due to a decrease in sample sales revenue[64] - The company reported a net exchange loss of HKD 127,000 for the three months ended March 31, 2021, compared to a loss of HKD 173,000 for the same period in 2020[65] - The total tax expense for the three months ended March 31, 2021, was HKD 24,000, compared to HKD 10,000 for the same period in 2020[68] - The company did not recommend any dividend for the three months ended March 31, 2021, consistent with the previous year[71] - No dividends were recommended for the three months ended March 31, 2021, consistent with the same period in 2020[110] - The report contains forward-looking statements regarding the company's industry and market expectations, which are subject to risks and uncertainties[150]
细叶榕科技(08107) - 2021 Q1 - 季度财报